Critically Evaluate the Impact of Globalization on Management Control System

Management is the allocation of scarce resources against an organization 's objective, the setting of priorities, the design of work and the achievement of results. Most important, it 's about controlling.

Overall Strength: in general, the article provides structure to a concept that is very intangible by: (a) describing the nature and the functions of control; (b) segregating the MCS into categories: core control system, organizational structure, and organizational culture; (c) illustrating how to apply the control model (satisfied my approach) (d) provides a basis for designing and evaluating the system. The manner, in which the model is presented, with its use of figures, further emphasizes the structure of the model. See below on further emphasis on parts (a) -(c).

19. After reading this chapter, what do you believe are the two greatest obstacles preventing poor countries from becoming rich?

The business internationalise means a company’s production and business activity are not only confined to one country, but also integrate the different countries’ raw material and labour and technologies to

Management Controls are used to put procedures and policies into place that would allow an organization to be able to function in a secure manner from all of its levels, to include the ground floor to the top floor.

Control is typically last in the list of management functions and follows planmng, organi7ing, staffing, and directing. In many ways, controlling is the most important, but it cannot occur until the results of the first four have been implemented. Managers control to ensure that the expected results actually occur after a structure or task is integrated with technology or people. Control depends on information conveyed to managers who continuously monitor sensors to ensure that ind1\ 1dual work results are effective and desirable and that organization objective are accomplished within resource con traints. The management model in Figure 5.8 reflects these relationships. Control allows managers

The last century has brought dramatic changes to the world. The globe has become more integrated, linking countries together economically, socially, and politically. Yet, as a result of this globalization, the world economy has become

Controlling is monitoring the performance of the organization, identifying deviations between planned and actual results, and taking corrective action when necessary. With all these four functions that are involved in the process of management, if all are followed correctly the organization will be properly ran and will have few complications.

Controlling is a part of management that is not considered to be as important. Like planning, it is a continual process; like organizing, it involves translation like leading, it involves diplomacy. Controlling is monitoring work progress to the company goals, and taking corrective action when required. (University of Wisconsin Whitewater, July 5, 2006, chap. 1)

The rapid pace of Globalization has led to a change in the global economy during the past several decades; it is believe that factors such as trade liberalisation, access to cheaper labour and resources, similarity of consumer demand around the world, and advances in technology and communication has widened the market of consumption, investment as well as production on a global scale. These globalization driven factors created new challenges and global competition for businesses around the world thus as a response many companies decided to expand their operation across national borders in order to be competitive. A company that operates their business in at least one country other than its country is called Multinational

Management Control Systems are systems that are put into place within organisations to help ensure that managers within organisation’s act

“Management is the planning, organizing, leading, and controlling of mankind and other resources to achieve organizational goals efficiently and effectively (University, p 4 2011)”. The greatest achievement of an organization is to provide goods and services that customer’s value. The managerial department of an organization has the power to determine the performance of the employee’s, which directly affects the quality of the service or product that is being supplied to the customer. “Managerial tasks are essential for effective management, which involves planning, organizing, leading, and controlling (University, p 6 2011)”. Planning is the process of identifying the suitable goals of an organization and how they will be implemented in the company. Organizing is the procedure that determines the departments of an organization. When departments have been established the next step is to decide who will work best at a particular job. The development of organization inside a business will form the organizational structure for the company. “Leading is the ability to inspire and organize individuals to work as a team to complete the goals of the business in an efficient and effective manner (University, p 9 2011)”. Controlling is being able to assess the procedures of a company and eliminate or change any strategy plans that are not showing high- performance levels. Controlling may consist of monitoring

Controlling Process in Management Controlling is directly related to planning. The controlling process ensures that plans are being implemented properly. In the functions of management cycle - planning, organizing, directing, and controlling - planning moves forward into all the other functions, and controlling reaches back. Controlling is the final link in the functional chain of management activities and brings the functions of management cycle full circle. Control is the process through which standards for performance of people and processes are set, communicated, and applied.

A good control system provides timely information to the manager which is very much useful for taking various decisions. Control simplifies supervision by pointing out the significant deviations from the standards of performance. It keeps the subordinates under check and brings discipline among them.

Although it is right that globalization promotes free trade among the states and unites them, but there are also negative outcomes, which states whether rich or poor try to protect their own interests? These negative outcomes of globalization have made the dependency theory significant in describing the state of affairs in the present world. Poor countries attempt to protect their national markets and become self-reliant (Hewison, 1999). Self-reliance can be seen as supporting a strategy of controlled relations with the world economy. Poor nations should only approve relations on the condition that the relations will enhance the societal and financial well being of the larger population. However, endeavour by the peripheral states to oppose the impact of dependency can result in results in financial sanctions and/or military attack (Sen, 2010). One example of such resentment against globalization is “localism“that surfaced during the financial crisis in Thailand (Hewison, 1999). Localism is an illustration of populist response to the changes and disparities created by globalization. Localism gained substantial energy from the Thai King’s speech in 1997, where he recommended a self-contained economy to counter the negative effects